{"version":1,"type":"story","url":"https://digestai.news/story/western-digital-sees-69-revenue-jump-in-next-quarter-on-ai-storage-dem","json":"https://digestai.news/story/western-digital-sees-69-revenue-jump-in-next-quarter-on-ai-storage-dem.json","markdown":"https://digestai.news/story/western-digital-sees-69-revenue-jump-in-next-quarter-on-ai-storage-dem.md","slug":"western-digital-sees-69-revenue-jump-in-next-quarter-on-ai-storage-dem","headline":"Western Digital sees 69% revenue jump in next quarter on AI storage demand","summary":"Western Digital reported a 55% revenue increase to $4.38 billion in its first quarter of fiscal 2027, ending October 2. Non-GAAP gross margins rose to 58.1% from 43.9% year-over-year, and earnings per share surged 161% to $4.64. The company expects revenue to grow 69% in the current quarter, with margins reaching 60–61% and adjusted EPS rising to $5.80 from $2.13 in the same period last year.\n\nWestern Digital attributes its growth to AI-driven demand for data storage, with 88% of its revenue coming from cloud storage. The company forecasts the AI and cloud storage market will expand at a 25% compound annual growth rate through 2030. Despite a 49% drop from its 52-week high in June, the company sees this as an opportunity for further gains in 2027.","keyPoints":["Western Digital’s Q1 fiscal 2027 revenue rose 55% to $4.38 billion, with non-GAAP EPS up 161% to $4.64","Company expects 69% revenue growth and 60–61% margins in next quarter, with EPS rising to $5.80","88% of revenue comes from cloud storage, driven by AI-driven demand and a 25% CAGR forecast through 2030"],"whyItMatters":"Western Digital’s strong storage growth reflects AI’s expanding data needs, benefiting cloud providers and enterprises. Its margins and revenue forecasts signal potential outperformance in AI infrastructure beyond chipmakers like Nvidia.","category":{"slug":"business","name":"Business & Funding","url":"https://digestai.news/category/business"},"entities":{"companies":["Western Digital","Nvidia","Micron Technology"],"models":[],"people":[]},"firstPublishedAt":"2026-10-28T06:35:00Z","updatedAt":"2026-10-28T06:35:00Z","sourceCount":1,"hasPrimarySource":false,"sources":[{"outlet":"finance.yahoo.com","title":"Not Nvidia. Not Micron. This Underappreciated AI Stock Could Be 2027's Biggest Winner.","url":"https://finance.yahoo.com/markets/stocks/articles/not-nvidia-not-micron-underappreciated-133500492.html","publishedAt":"2026-10-28T06:35:00Z","type":"press","primary":false,"lead":true}],"sourceNotes":null,"discussions":[],"thread":null,"cite":{"text":"Digest AI, \"Western Digital sees 69% revenue jump in next quarter on AI storage demand\", 28 October 2026, https://digestai.news/story/western-digital-sees-69-revenue-jump-in-next-quarter-on-ai-storage-dem","publisher":"Digest AI","title":"Western Digital sees 69% revenue jump in next quarter on AI storage demand","datePublished":"2026-10-28T06:35:00Z","url":"https://digestai.news/story/western-digital-sees-69-revenue-jump-in-next-quarter-on-ai-storage-dem"},"generatedBy":"Written by Digest AI's editorial model from the linked sources; the sources are the record.","license":"Headlines, digests and key points are written by Digest AI and may be quoted with a link to the story page. Linked articles belong to their publishers. Terms: https://digestai.news/terms#reuse"}